A high-profile delegation from NYSE Euronext will be heading to Cairo next month to meet with the Egyptian Exchange management, Egyptian bourse chief Dr. Mohamed Omran told reporters on Tuesday.
On the sidelines of the 53rd General Assembly and Annual Meeting of the World Federation of Exchanges (WFE), the Egyptian Exchange (EGX) Chairman Dr. Mohamed Omran had met with the executive vice president of NYSE Euronext to outline the final framework to activate the trading of futures contracts in Euronext’s NYSE Liffe, based on the EGX 30 index, such as the pricing mechanisms, settlement, as well as other technical aspects.
“Futures contract on EGX 30 index will increase volumes on the underlying constituents of EGX 30 index, which will increase liquidity on EGX cash market. Furthermore, it will introduce for the first time a beneficial hedging tool for investors to manage their risks.” said Dr. Omran
It is worth noting that the Egyptian Exchange signed a license agreement last January 13th in London with NYSE Liffe, the European derivatives business of NYSE Euronext, to list the EGX 30 index.
The 53rd General Assembly and Annual Meeting of the World Federation of Exchanges (WFE) is hosted this year by the Bolsa Mexicana de Valores (Mexican Stock Exchange) (BMV).